Nav report: More choose cash-for-care benefit over working

The government’s increase in the cash-for-care benefit has had a negative effect on the employment of women, especially for those with an immigrant background, according to a new report from NAV.

Dagsavisen newspaper writes that the report, to be presented on Friday, analyzes Nav consequences when in 2014 the government increased the cash-for-care benefits to 6,000 per month for one-year olds.

– During the same period, the employment rate increased among those who receive cash-for-care benefits and for those who don’t, however the rate was lower for those who received the cash-for-care benefit, says Director of Skills for Labour and Welfare, Yngvar Åsholt from Nav.

– The increase in cash benefits has meant that more women are choosing the cash-for-care benefit instead of working, he said.

The report concludes that “The major discovery is that the increase in the rates of cash-for-care benefit has meant that mothers with eligible age children are working five to six percent less than what they would have without the rate increase.”

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